For users with payment constraints or privacy concerns, peer-to-peer (p2p) exchanges have emerged as an alternative to more conventional crypto exchanges. While many of these marketplaces are part of larger centralized exchanges, they provide flexibility that is uncommon in their parent ecosystems.
While the interwebs are littered with several p2p marketplaces, the best peer-to-peer crypto exchanges balance privacy, decentralization, liquidity, payment flexibility, and affordability in ways that benefit users.
This guide explores eight of the pest p2p exchanges out there. We unpack their offerings, prices, and unique features, and gauge their liquidity so you can make a more informed decision on where to trade.
Looking for a quick answer? Here are our picks for the best P2P crypto exchanges
Binance is a behemoth crypto exchange that offers a suite of services (p2p exchange being one of them) to over 120 million users worldwide. This global reach has allowed the exchange to build and run a global p2p marketplace with deep liquidity.
We like Binance’s p2p platform because of its wide support for fiat currencies and payment methods. You can transact with 100+ fiat currencies based on your region.
Because you must pass ID verification to use the platform, you may not be able to use all currencies; however, you still get access to multiple major fiat currencies like USD, GBP, EUR, and JPY, as well as local currencies close to your country.
Supported payment methods vary based on selected currency but are usually quite extensive. For example, we counted 200+ payment methods for the USD.
You can buy/sell six major cryptos on Binance’s p2p platform. They include USDT, BTC, ETH, FDUSD, BNB, and DAI.
When you select the crypto, fiat currency, and payment method of your choice, you’ll be shown ads published by counterparties that show the prices they are willing to trade at and the volume limits (remember you filtered by payment method).
If none of the ads are favorable (which is rarely the case), you can publish yours; however, it could take a while to find a counterparty. To learn more, read our Binance review.
Kucoin is another exchange that features a p2p platform in its suite of services. Like Binance, this exchange exerts a global reach, which adds to the breadth and depth of its p2p platform.
The platform supports six cryptocurrencies, i.e. USDT, BTC, ETH, KCS, and USDC, 40+ fiat currencies, and a wide enough range of payment methods. For context, the USD has 20 payment methods as of writing.
The platform uses an escrow service to ensure both counterparties act fairly. This only kicks in when you indicate that you have sent payment, not when you begin the transaction process.
This means you must ensure that you send payment to the seller and click “Transferred Payment” within the given time limit. The trade will automatically be canceled once you fail to click the button within the time limit.
To begin using Kucopin’s p2p platform, you must first bind your phone number to your account. To learn more, read our dedicated Kucoin review.
Mexc is a popular exchange known for its large collection of cryptos and its habit of listing new projects before larger exchanges like Binance, allowing users to get into potentially profitable coins early.
Like many centralized exchanges, Mexc also offers a p2p market that trades BTC, ETH, USDT, and USDC using payment methods that are familiar to users in the Asian region, like MoMo, Zalo Pay, and ShopeePay-SEA, and bank transfers.
As such, fiat currencies are limited to the Vietnamese Dong, the South Korean Won, and the Russian Ruble.
We like Mexc because of its focus on a particular market, which allows it to provide exceptional services to users in its chosen region.
To begin, sign up for a Mexc account with an email and password, mobile phone number, Google account, Apple ID, and even a MetaMask wallet.
Bybit is a fast-growing crypto exchange with multiple features that allow users to take full control over their cryptos. The Dubai-based exchange boasts a user base of 20+ million unique accounts that process $10 billion in daily trading volumes, making it a great platform for p2p transactions.
The exchange’s p2p marketplace lists four major cryptos for transactions: USDT, BTC, ETH, and USDC, 40+ fiat currencies, and just as many payment methods.
We like Bybit because it lists some payment methods that even behemoths like Binance do not list. Thanks to the exchange’s worldwide availability (present in 160+ countries), traders enjoy more flexibility in which regions can use certain payment methods and fiat currencies.
Volumes on the platform are not as high as Binance, but they are still adequate for small to medium-sized trades, which we believe encompasses the bulk of current p2p trades.
As with all effective p2p markets, Bybit’s platform uses an escrow service that discourages users from communicating with counterparties offline.
To start with Bybit, sign up for an account with an email or mobile number and pass KYC.
Hodl Hodl is a great option for traders focusing solely on Bitcoin trades. The standalone platform is mostly decentralized, easy to use, and supports multiple fiat currencies and payment methods.
The platform is mostly decentralized because it requires an email to sign up; however, this is used mainly for login, confirmation, and communication purposes, and not for identification purposes; hence, email masks are accepted.
Hodl Hodl supports over 50 fiat currencies and 20+ payment methods. The platform even supports other cryptos as payment methods for Bitcoin which is uncommon among other platforms.
Like other decentralized platforms, liquidity is adequate for small to medium-sized trades. Still, larger trades may prove difficult and expensive as prices are generally higher than the market average, sometimes rising 10% higher due to platform and network transfer fees.
To begin trading, sign up for an account. You’ll be asked to set two passwords, one for your account and the other to approve transactions. Once both parties have accepted a contract, it is locked and cannot be reversed, so be careful when opening or accepting contracts.
When buying Bitcoin, ensure that the counterparty has sent BTC to the escrow account and that the transaction has been confirmed by the network, not just received at the BTC address.
Once the transaction has been confirmed, you can send payment, after which BTC will be sent to an address of your choosing.
HTX (formerly called Huobi) is another exchange out of Asia with a global reach thanks to six licenses from major regulators worldwide and a user base of 45+ million accounts. However, it differs from the likes of Mexc in the depth and robustness of its p2p platform.
We like HTX’s p2p market because it supports more currencies, payment methods, and cryptos than other Asian exchanges on this list. HTX supports USDT, BTC, USDD, ETH, TRX, and USDC, 40+ fiat currencies including those from other regions like Africa, and over 100 payment methods.
You can filter by crypto, fiat currency, and payment methods to narrow the listings. When you find a suitable one, proceed with the trade.
To trade with HTX, sign up with an email address, phone number, Google account, or Telegram account.
OpenPeer is a completely decentralized p2p exchange that allows traders to buy and sell crypto across multiple blockchain networks. It offers a multichain solution to p2p transactions that helps users save on fees on expensive platforms like Ethereum.
The exchange trades eight cryptocurrencies across seven major blockchain networks using 100+ fiat currencies and 50+ payment methods. All you need to do to begin is connect your crypto wallet to the platform; no KYC or email address is required.
Liquidity varies with providers but is not usually deep like centralized exchanges. While the platform offers flexibility, transaction times can run long as counterparties must be present for transactions to move forward.
We saw payment time limits as high as 1,440 minutes (roughly a day). Given the volatility of the crypto market, prices could become unfavorable within this period, except for transactions involving stablecoins.
When you initiate transactions, the purchased crypto is deposited directly into your connected wallet, making OpenPeer one of the most straightforward methods for privacy-conscious users.
A peer-to-peer crypto exchange is a platform or online marketplace that allows people to trade with one another directly. These exchanges differ from centralized and even traditional decentralized exchanges in that they allow traders to set conditions and terms that suit them.
Participants, called counterparties, can communicate with one another to set the prices they wish to trade at, the volume and limit they are willing to accept, and the payment methods they support.
The platform provider usually offers escrow services that underpin the entire system because it ensures that traders follow the rules and honor their agreements.
P2P markets can have a global reach as users within various regions use payment methods suitable to their locale, making it easy for users in those locales to transact.
Every exchange comprises buyers, sellers, makers, and takers. P2P exchanges contain the same elements, but the makers are often called publishers because they publish ads on listing pages to buy or sell a particular crypto.
These pages can be categorized by cryptocurrency (like Binance), fiat currency (like Hodl Hodl), or payment methods.
Each page usually contains multiple listings for a particular crypto or fiat currency. Each listing includes the cryptocurrency being sold or bought, the price the publisher is willing to buy/sell at, the minimum and maximum volumes the publisher is willing to trade in one transaction, and the payment methods they support.
Takers don’t post ads but look through the listings to find one that suits them (most people are takers). When they initiate a transaction, they send funds to the seller or deposit their crypto to an escrow wallet for buyers.
The escrow system ensures that all parties fulfill their end of the deal and the trade runs smoothly.
The first consideration for any crypto-related platform is security, and p2p exchanges are no different. However, there are two ways to go about choosing a secure platform.
Centralized exchanges usually offer p2p exchanges as a feature in their overall ecosystem. In these cases, ensure the overall platforms possess the necessary security certifications.
Decentralized exchanges may not have security certifications, so you may need to look to other metrics, like an SSL certificate, reputation, and smart contract security to make decisions.
If you find yourself out of your depths, stick with popular exchanges that have been around for years and do not have reports of hacks.
The point of p2p exchanges is to easily buy crypto with cash and vice versa; hence, the ideal choice should have wide fiat currency support.
Major fiat currencies like USD, EUR, GBP, and JPY should be available, as well as less-known currencies like SGD and AUD.
The platform should also support several payment services, from majors like credit cards, bank transfers, Skrill, Neteller, and Paypal to more region-specific ones like Sofort, SEPA, and Rapid Transfer.
The escrow system holds p2p exchanges together because it enforces fairness and fosters trust in the platform. Decentralized platforms rely on smart contracts to enforce rules while centralized platforms may use a mix of smart contracts and other methods.
Whichever method is used, the platform’s system must protect both parties trading and make it easy to verify and complete trades.
Centralized platforms should be regulated as they are usually part of centralized crypto exchanges. If the exchange runs into regulatory issues, so will the p2p exchange.
Decentralized p2p exchanges may not need to be regulated, and most of them aren’t. However, this is not a concern as they rely on smart contracts to provide escrow services, which can be scanned on blockchain explorers.
Counterparty risk includes the risk of your trading partner failing to complete their end of the deal. Even with escrow services, deals cannot be concluded if one party fails to pay fiat or send crypto.
While your funds may be safe (if you are a seller), you may not be able to swap your crypto at that time.
Hacks and breaches are a reality in the crypto space. The damage can be far-reaching for centralized p2p exchanges that provide custody services to their users. Decentralized exchanges may not be affected as much as users’ funds are usually in their wallets.
However, scripts can be written to target wallets connected to decentralized p2p exchanges, so you must always disconnect your wallet after completing a transaction.
Decentralized exchanges are usually more affected by liquidity risks as there are no pools to deposit funds into to ensure smooth and seamless transactions. Usually, both counterparties need to be online for transactions to proceed.
Also, decentralized p2p exchanges do not have as much liquidity as their centralized counterparts, which often results in higher-than-market prices for cryptos.
Smart contract risk includes the probability of a breach of the smart contract that provides escrow services. Decentralized exchanges are particularly vulnerable as they rely more on smart contracts than their centralized counterparts.
P2P exchanges are most appealing because of the plethora of payment options. While regular centralized exchanges are usually limited to a few major payment methods, p2p exchanges can theoretically incorporate as many as is needed.
This allows for options that are easier for users.
Just as with payment options, the flexibility that p2p exchanges afford users allows for the support of multiple currencies. Provided buyers and sellers wish to transact in a particular currency, a market can be created for it on a p2p exchange.
Because transactions between counterparties are done using payment methods that are familiar and convenient for both, the cost of transfers is significantly reduced as both counterparties could simply agree on the cheapest payment method available.
P2P exchanges are not as anonymous as no-KYC exchanges; however, they help users reduce their digital footprints, especially in the case of decentralized p2p exchanges.
Traders who value privacy can use decentralized p2p exchanges to give as little information as possible and dissociate traditional financial payments with crypto on their records.
The time taken to conclude p2p trades depends on the platform, counterparty availability, and payment methods used. However, most transactions are concluded within a few minutes.
The software used to build and run p2p exchanges depends on the type of exchange and users. Decentralized p2p platforms may use a different stack than their centralized counterparts.
The specific technologies and their inner workings are outside the scope of this guide; however, most p2p exchanges interact with smart contracts, sometimes across multiple blockchains.
They also interact with crypto wallets to facilitate decentralized transfers between counterparties.
P2P and over-the-counter (OTC) exchanges facilitate cryptocurrency trade between two parties. However, how they go about it differs.
The p2p account you open depends on the type of platform you choose. Our guide covers the steps for a centralized p2p exchange on Binance.
A Binance account is a single profile for all their services, including the p2p platform. Sign up with your email, phone number, Google account, or Apple ID.
Verify your account by completing your profile and submitting KYC documents like a government-issued ID card and proof of address documents like a utility bill.
Navigate to the p2p platform to see the available listings. You can filter by cryptocurrency, fiat currency, payment method, and region.
Select a suitable listing and transact with the counterparty. Remember to follow Binance’s rules to ensure a smooth trade.
Peer-to-peer (p2p) exchanges connect buyers and sellers in a flexible environment that allows for multiple payment methods and currencies. Because p2p trades do not involve middlemen, they are usually cheaper.
There are two major types of p2p exchanges, centralized and decentralized exchanges. Centralized exchanges usually come bundled with a centralized exchange, like Binance or Kucoin, requiring users to pass KYC; however, they are efficient and can have deep liquidity.
Decentralized exchanges, on the other hand, use smart contracts to facilitate their services. They have no middlemen and can be cheaper; however, they are often plagued with higher-than-market pricing and inadequate liquidity for large trade volumes.
Always use the escrow service, no matter how many times you may have transacted with any one counterparty.
To begin trading, sign up for an account now.
The platforms covered in this guide were chosen through rigorous testing, research, and reviews. We paid attention to security, transparency, reputation, fees, escrow system, and volume.
The platforms listed are the best we found in the various categories we listed them. For example, we listed HTX as the most robust Asian platform because it is the only Asian-based exchange with deep liquidity and support for multiple fiat currencies.
Check our why trust us and how we test pages for more information on our testing process.